Seoul stocks sharply down late Tuesday morning on tech slide

The benchmark Korea Composite Stock Price Index (KOSPI) is displayed on a screen at a dealing room of Hana Bank in Seoul, Tuesday. Yonhap

Korean stocks extended losses late Tuesday morning as big chip shares sharply lost ground, tracking an overnight slump in U.S. techs.

After opening 1.2 percent lower, the benchmark Korea Composite Stock Price Index (KOSPI) shed 332.8 points, or 4.43 percent, to 7183.24 as of 11:20 a.m.

Overnight, U.S. stocks closed mixed as investors remained cautious after U.S. President Donald Trump said he had postponed a planned attack on Iran at the request of Gulf leaders, while a surge in crude oil prices heightened market anxiety and fueled concerns over long-term inflation.

Some U.S. big techs, such as Apple and Microsoft, closed lower. Investors also await the earnings report from artificial intelligence (AI) chip giant Nvidia this week.

In Seoul, blue-chip tech shares slid.

Semiconductor heavyweights Samsung Electronics and SK hynix shot down 4.27 percent and 4.73 percent, respectively.

AI investment firm SK Square shed 6.95 percent, and leading battery maker LG Energy Solution lost 4.23 percent.

Automobile shares were also among the losers.

Top automaker Hyundai Motor went down 9.35 percent, and its smaller affiliate Kia declined 5.6 percent.

On the other hand, defense giant Hanwha Aerospace jumped 4.48 percent.

The Korean won was trading at 1,502.7 won against the U.S. dollar at 11:20 a.m., down 2.4 won from the previous session.